Drew Industries Inc., parent of RV industry supplier firms Lippert and Kinro, reports its RV industry-related sales revenue and operating earnings increased during the second quarter despite the soft wholesale market.
Drew’s RV industry-related sales increased 8% during the April-through-June period to $28.8 million, despite a 17% decline in shipments industry-wide during the period, according to the White Plains, N.Y.-based company.
The company’s RV industry-related operating profit also increased 9% during the three months ended June 30 to $2.7 million.
Drew’s Lippert subsidiary, a supplier of chassis to the manufacturers of towable RVs, has opened five new factories since early 2000, allowing the company to gain market share in the segment, which led to the increase in operating profit, said Leigh Abrams, president and CEO.
Lippert will open another towable RV chassis assembly plant in Campbellsville, Ky., later this month to supply the new Fleetwood Enterprises Inc. towable RV assembly plant in that community, along with other customers, Abrams added.
Fleetwood opened the Campbellsville plant late last year.
Otherwise, Drew, also a supplier to the manufactured housing industry, reported its total second quarter net earnings increased 25% to $3 million. However, the company’s total net earnings for the first half of this year were down 25% to $3.8 million.
The softness in the manufactured housing wholesale market also more than offset Drew’s gains in the RV market during the second quarter, resulting in a total sales decline of 9% to $71.8 million.
During the first half of this year, Drew’s total sales were down 15% to $130.7 million.